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USAID | BIZPRO is a regional USAID-funded enterprise development project implemented by Development Alternatives, Inc. USAID | BIZPRO has been operating in Ukraine and Moldova since 2000 and 2001 respectively.  In April 2005 USAID | BIZPRO began work in Belarus. The foundation of USAID | BIZPRO’s approach in Ukraine is presented in an unique analysis, Ukraine: Competing in the Global Economy – Strategies for Success (January 2005). A similar assessment has been completed for Moldova -Assessing Competitiveness in Moldova’s Economy (July 2004).

USAID | BIZPRO’s goal in Ukraine is to help enterprises compete in foreign and domestic markets by working at the enterprise, sector, and policy/legal level. In Belarus USAID | BIZPRO implements the CAP/CIPA accounting program and engages a local think tank to provide economic analysis designed to generate and inform public/private dialogue. USAID | BIZPRO contributes to the economic development of Moldova by providing assistance that improves the ability of small and medium-sized enterprises (SMEs) to operate and compete in local and external markets.

Based on the Ukraine research, USAID | BIZPRO/Ukraine provides targeted assistance to develop the following competitive sectors: Furniture & Home Furnishings; Textiles & Apparel; Fruits & Vegetables Processing; Construction Materials; Tourism; Information & Communication Technologies.

USAID | BIZPRO works with a broad array of Ukrainian and international partners to provide assistance at the enterprise, sector, and national (policy/legal) level. USAID | BIZPRO helps to develop business linkages and improve industry-specific skills that enterprises require to grow. USAID | BIZPRO then disseminates the lessons from its work with specific enterprises to all enterprises operating in the sector through training, workshops, and seminars. At the same time, in order to create a competitive business environment USAID | BIZPRO works with sector stakeholders, both public and private, to help formulate and implement balanced and predictable laws and regulations that improve the business environment for Ukrainian and foreign investors. On a cross-sector basis, USAID | BIZPRO also addresses issues related to science, technology, innovation, quality assurance, and market channels.

Ukraine has the potential to compete successfully in the global economy but the private and public sectors must take concrete actions to make this opportunity a reality. USAID | BIZPRO helps in very specific, interrelated ways.

MARKET DEVELOPMENT

USAID | BIZPRO provides support and assistance to enterprises, which have the greatest potential for competing successfully in domestic and international markets, increasing exports and GDP, creating more jobs, and attracting investments. Through its wide network of Ukrainian and international partners, USAID | BIZPRO helps enterprises establish commercial linkages with foreign partners, wholesale buyers and trade agents. USAID | BIZPRO transfers knowledge of developing and strengthening local brands, and helps enterprises improve operations and position themselves in domestic and foreign markets. USAID | BIZPRO works with local and international buyers to obtain insights and market leads in order to better assist enterprises to meet market requirements for the products or services they wish to sell and to help launch new products that meet market demand. USAID | BIZPRO consultants assist enterprises in integrating into value chains and developing distribution channels, improving design capacity and accessing international information resources. Through its partners, USAID | BIZPRO introduces international standards in the area of quality control and product testing and assists in developing investment proposals and product presentations. Together with public and private sector stakeholders, USAID | BIZPRO discusses progress and results of its interventions in order to design new interventions that flexibly respond to sector needs and developments.

POLICY, LEGAL, AND REGULATORY REFORM

USAID | BIZPRO supports target industry sector stakeholders in designing and implementing specific initiatives to improve the business environment. For each policy, legal, or regulatory initiative, stakeholders develop and execute detailed action plans with USAID | BIZPRO assistance. These action plans focus on results and assign individual responsibility for each task with set timelines. Regulatory reform is USAID | BIZPRO’s current business environment priority. In partnership with industry and government stakeholders, and in the line of the presidential decree “On Measures to Ensure Implementation of State Regulatory Policy,” USAID | BIZPRO is heavily supporting efforts to achieve quick deregulation at both national and regional levels. USAID | BIZPRO experts are active members of the working groups at ministries and agencies reviewing the regulations that govern business activities. Working closely with government, USAID | BIZPRO has also drafted a new permits law that will significantly reduce the number of required permits, retaining only those with a basis in law. In order to reduce the time, cost, and corruption in obtaining permits approvals, USAID | BIZPRO has provided methodological and technical assistance to municipalities for the opening of 37 one-stop shops for permits issuance.


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For investors: new entry
Novokahovskyi Lime-Sand Brick Plant

Purposes of company: Investments
Company description:

Market Overview:  Construction volume is increasing 20-25% annually, creating an increased demand for high quality façade bricks. The industrial capacity of façade bricks is estimated at 200 million bricks per year. In 2006, a construction boom is expected in southern Ukraine, where the plant is located. The product is used mainly by construction companies and private companies.

Project Overview:

  • Using KSE-400 (Germany)
  • Equipment supplier offers trainings for the buyer’s staff
  • Can produce 30 million bricks per year including high quality hollow façade bricks, ordinary bricks, molded bricks, white and colored bricks

Competitive Advantages:

  • Production of lime-sand bricks is considerably more energy efficient than the production of ceramic bricks. Moreover, the project envisions the reconstruction of one of the two pit-type 50-ton lime-burning kilns; using coal, automatic blending, loading, and burning will save on gas
  • Plant produces its own lime; a sand-pit is located close to the plant
  • No high quality lime-sand hollow bricks are produced in southern Ukraine
  • Due to the considerable decrease in the weight of the bricks, delivery and transportation becomes much easier; bricks can be transported by auto, railway (via the plant’s rail track), or by water (a river port is 8 km away)
    Investment Project Progress:  Market research has been conducted

Key Financials:

  • Total Investment - ˆ 1.5 mln
  • Investment Needed - ˆ 1.5 mln
  • Payoff period - 5 years

Branch: Construction materials
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Purposes of company: Investments
Company description:   
Branch: Construction materials
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For Buyers: new entry
Lana Private Manufacturing-Commercial Firm

Purposes of company: Export
Company description:

Lana produces a wide variety of wood furnishings for the discerning customer. Lana specializes in high-quality, premium home furnishings created from solid wood, including: furniture, entry and interior doors, parquet, furniture façades, interior decorations, and staircases. Buyers can choose from distinctive creations of Lana’s innovative design team or provide their own designs. No matter how intricate the design, Lana’s highly-trained specialists will surpass their customers’ expectations.

Lana’s experienced team tightly controls the manufacturing process from start to finish, from selection and processing of only the finest lumber to careful inspection and meticulous hand-finishing of each item produced.
 
Lana is a family-owned business. This company has been successful in Ukraine and the countries of the former Soviet Union for over 15 years. The key to Lana’s success is dedication to traditional business values: excellent customer service, high-quality craftsmanship, and consistently delivering on commitments.
 
Lana creates unique and interesting designs. The company has flexible production and can make adjustments quickly to fill new orders. Lana’s marketing service has qualified specialists with good customer service skills.

The company employs highly qualified specialists to create handmade products with unique designs. The company has mastered a full woodworking cycle, from lumber to the finished product. The company has developed its own methods for drying and sawing wood. Valuable and rare types of wood are used.


Branch: Furniture
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Aliot, Ltd.

Purposes of company: Export
Company description:

Aliot, Ltd has been active in the Ukrainian furniture market since 1999. Aliot is a professional manufacturer of interior furniture for offices and homes. The distinguishing feature of this company’s production is a harmonious combination of functionality and aesthetics together with reasonable prices.

Aliot’s specialists work with European equipment that enables them to produce high-quality modern furniture. The aim of the company is to perfect and develop the furniture industry in order to satisfy the growing requirements of their customers and partners.

A combination of competent marketing policies and a team of professionals with a high level of technical training and practical skills ensure the constant development of the Aliot company.


Branch: Furniture
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